ceeds three hundred and fifty feet in height above the ground that the owner thereof alter such structure to such height as may be specified in such order (not less than one hundred and fifty feet or three hundred and fifty feet, as the case may be), if he finds that such alteration is necessary to carry out the zoning program and the findings and declaration of policy set forth in section 3100.

"EMERGENCY ORDERS

"(e) In any emergency, where necessary to remove an obstruction to aerial navigation which constitutes an immediate and serious hazard to life and property, and where necessary to carry out the zoning program and the findings and declaration of policy set forth in section 3100, the Administrator may issue an order provided for in subsection (b), (c), or (d) of this section without notice and hearing.

"JUDICIAL REVIEW OF ZONING ORDERS

"SEC. 3106. The validity of any order issued under section 3105 may be reviewed by petition filed by a person affected by such order with the United States district court for the district in which the structure or object involved is located or in which such person resides. The provisions of section 1006 (c), (d), and (e) of this Act shall be applicable to proceedings upon such petition as though the word 'Authority' as used therein were 'Administrator'.

"COMPENSATION

"DETERMINATION BY ADMINISTRATOR

"SEC. 3107. (a) Any person required to effect an alteration by an order or an emergency order entered pursuant to section 3105 (c) or (d) shall be entitled to receive just compensation therefor from the United States. Such compensation shall be determined by the Administrator by order, after notice, and opportunity for hearing.

"JUDICIAL REVIEW

"(b) Any person affected by an order entered under subsection (a) of this section may institute proceedings in the United States district court for the district in which the structure or object involved is located or in which such person resides to obtain a review by that court of the adequacy of the compensation fixed in such order. In such proceedings, the compensation so fixed shall be presumed to be adequate and the burden of proof shall be upon the person instituting the proceedings, but the court may receive any revelant evidence, whether or not offered in the hearing before the Administrator. The court shall have jurisdiction to affirm or revise such order, or to remand the matter to the Administrator for further consideration, as may seem appropriate. Review of decision of the court may be had as in other proceedings of district courts.

"COMPLIANCE WITH ORDERS NOT AFFECTED BY COMPENSATION PROCEEDINGS

"(c) A person affected by an order or an emergency order entered pursuant to section 3105 (c) or (d) shall promptly comply therewith whether or not any proceedings have been instituted under subsection (a) or (b) of this section.

"NOTICE OF HAZARDS

"SEC. 3108. The Administrator shall by rules and regulations, or by order where necessary, require all persons to give adequate public notice, in the form and manner prescribed by him, of the construction or alteration, or proposed construction or alteration, of any structure where such notice will promote safety in aerial navigation.

"PROCEDURE

"SEC. 3109. The provisions of sections 1001, 1004, 1005 (c) and (f), 1007, 1008, and 1009 of this Act shall be applicable to this title as though the words 'Authority' or 'member of the Authority' as used therein were 'Administrator'."

SEC. 17. The Civil Aeronautics Act of 1938, as amended, is hereby amended by inserting at the beginning of title IV thereof the following new section:

"DECLARATION OF POLICY

"SEC. 400. In the exercise and performance of its powers and duties under this title, the Authority shall consider the following, among other things, as being in the public interest, and in accordance with the public convenience and necessity

"(a) the encouragement and development of an air transportation system properly adapted to the present and future needs of the foreign and domestic commerce of the United States, of the Postal Service, and of the national defense, and so located, equipped, and staffed that it may serve as an adequate auxiliary to the armed forces in time of national emergency both within and without the continental limits of the United States;

"(b) the fostering and regulation of air transportation in such manner as to recognize and preserve the inherent advantages of, assure the highest degree of safety in, and promote sound economic conditions in, such transportation, and to improve the relations between, and coordinate transportation by, air carriers, in the interest of a unified air transportation system throughout the United States and between the United States and other nations;

"(c) the promotion of adequate, economical, and efficient service by air carriers at reasonable charges, without unjust discriminations, undue preferences or advantages, or unfair or destructive competitive practices;

"(d) competition to the extent necessary to assure the sound development of an air transportation system properly adapted to the needs of the foreign and domestic commerce of the United States, of the Postal Service, and of the national defense;

"(e) the furnishing of regular air transportation so far as possible between the continental United States and each of the Territories and possessions and any other place in which the United States has an interest."

SEC. 18. Subsection (d) of section 401 of the Civil Aeronautics Act of 1938, as amended, is amended by striking out subparagraph (2) thereof and inserting in lieu thereof a new subparagraph as follows:

"(2) The Authority may issue a certificate under this section authorizing the whole or any part of the air transportation applied for for such limited periods as may be required by the public convenience and necessity: Provided, That where application is made for a certificate of unlimited duration and the certificate issued by the Board is effective for a temporary period only, the applicant may reject such certificate if such right of rejection is exercised within such reasonable period of time as may be fixed by the Board, and in such event no certificate shall be issued to such applicant."

SEC. 19. Subsection (h) of section 401 of the Civil Aeronautics Act of 1938, as amended, is amended by inserting the figure (1) just before "the Authority" in the first line of that section and inserting at the end of the section a new subparagraph as follows:

"CITIZENSHIP

"(2) The Board, upon petition or complaint or upon its own initiative, after notice and hearing, shall suspend or revoke any certificate, if at any time it finds that the holder thereof is not a citizen of the United States: Provided, That the Board, whenever it deems such action to be in the public interest, may postpone the effective date of such a suspension or revocation for such period of time as it may deem necessary to permit the submission to, and approval by the Board, and the consummation of, a plan or plans of reorganization of the holder designed to reestablish its status as a citizen."

SEC. 20. (a) Subsection (b) of section 402 of the Civil Aeronautics Act of 1938, as amended, is amended by striking out the period at the end thereof and inserting a colon and the following proviso: "Provided, That if an agreement has been entered into between the United States and a foreign county providing for the establishment by the applicant of the air transportation applied for, the Board may issue a permit authorizing such air transportation without finding that such air transportation will be in the public interest and that the applicant is fit, willing, and able to perform such air transportation."

(b) Subsection (e) of section 402 is amended by striking out the period at the end thereof and inserting a colon and the following proviso: "Provided, That if an agreement has been entered into between the United States and a foreign country providing for the establishment by the applicant of the air transportation applied for, the Board may issue a permit authorizing such air transportation without a public hearing."

SEC. 21. Section 403 (b) of the Civil Aeronautics Act of 1938, as amended, is hereby amended by striking out the second sentence thereof and, in lieu thereof, inserting the following: "Nothing in this Act shall prohibit such air carriers or foreign air carriers, under such terms and conditions as the Authority may prescribe, from using or interchanging tickets or passes for free or reduced-rate transportation to their directors, officers, and employees and their immediate families; witnesses and attorneys attending any legal investigation in which any such air carrier is interested; persons injured in aircraft accidents and physicians and nurses attending such persons; and any person or property with the object of providing relief in cases of general epidemic, pestilence, or other calamitous visitation; and to such other persons and under such other circumstances as the Authority may by regulations prescribe. No air carrier or foreign air carrier shall provide free or reduced-rate transportation to any other persons or under any other circumstances."

SEC. 22. Section 404 of the Civil Aeronautics Act of 1938, as amended, is hereby amended to read as follows:

"RATES FOR CARRIAGE OF PERSONS AND PROPERTY

"CARRIER DUTY TO PROVIDE SERVICE, RATES, AND DIVISIONS

"SEC. 404. (a) It shall be the duty of every air carrier and foreign air carrier to provide and furnish air transportation, as authorized by its certificate or permit, upon reasonable request therefor and to provide reasonable through service in such air transportation in connection with other air carriers and foreign air carriers; to provide safe and adequate service, equipment, and facilities in connection with such transportation; to establish, observe, and enforce just and reasonable individual and joint rates, fares, and charges, and just and reasonable classifications, rules, regulations, and practices relating to such air transportation; and in case of such joint rates, fares, and charges, to establish just, reasonable, and equitable divisions thereof as between air carriers and foreign air carriers participating therein which shall not unduly prefer or prejudice any of such participating carriers.

"DISCRIMINATION

"(b) No air carrier or foreign air carrier shall make, give, or cause any undue or unreasonable preference or advantage to any particular person, port, locality, or description of traffic in air transportation in any respect whatsoever or subject any particular person, port, locality, or description of traffic in air transportation to any unjust discrimination or any undue or unreasonable prejudice or disadvantage in any respect whatsoever."

SEC. 23. Section 406 (b) of the Civil Aeronautics Act of 1938, as amended, is hereby amended by inserting immediately after the words "of the character and quality required" the words "in the public interest."

SEC. 24. Section 412 of the Civil Aeronautics Act of 1938, as amended, is hereby amended by adding at the end of such section the following subsection:

"AGREEMENTS BETWEEN DIRECT AND INDIRECT AIR CARRIERS

"(c) In the case of a contract or agreement between an air carrier indirectly engaged in air transportation and an air carrier directly engaged therein, affecting the terms and conditions pursuant to which the former utilizes the facilities or services of the latter, an order of disapproval under subsection (b) of this section shall, effective upon such date as may be fixed in such order, make unlawful the carrying out of such contract or agreement in the respects specified in such order."

SEC. 25. The Civil Aeronautics Act of 1938, as amended, is hereby amended by inserting a rew section to read as follows:

"DECLARATORY ORDERS AND ARBITRATION

"SEC. 417. In order to lessen the need for administrative or judicial litigation and the expense involved therein, the Authority is authorized and directed to

"DECLARATORY ORDERS

"(a) Enter declaratory orders, upon the petition of any interested person, interpreting any provision of this Act (other than title III-A) or any order, rule, regulation, term, condition, limitation, or requirement adopted pursuant thereto, whether or not there has been any actual or alleged action or omission in contravention thereof. Such orders shall have the effect of other orders entered pursuant to this Act and shall be subject to review as provided in section 1006.

"ARBITRATION

"(b) Provide and administer, subject to such rules as it may adopt or approve, machinery for voluntary arbitration of claims, controversies, and other disputes arising between or among air carriers, foreign air carriers, or air contractors, or any of them, or between or among any such person or persons and any other person or persons. The Authority may utilize private persons or its own members or employees or those of other Government agencies as arbiters, and may provide such machinery through or in cooperation with private organizations or otherwise as it may deem appropriate. Arbitration awards shall require such action, including the payment of penalties or punitive damages, as the parties may have provided for and, unless clearly unreasonable or arbitrary, shall have the effect of contracts as between the parties affected thereby and shall be enforceable as such. A contract for the submission of any existing or future claim, controversy, or dispute to the arbitration provided for herein shall be valid and enforceable by a decree for specific performance if the claim, controversy, or dispute is one to which the commerce power or the judicial power of the United States extends."

SEC. 26. The Civil Aeronautics Act of 1938, as amended, is hereby further amended by inserting at the end of title IV thereof the following:

"TITLE IV-A-AIR CONTRACTOR ECONOMIC REGULATION

"DECLARATION OF POLICY AND EXEMPTIONS

"DECLARATION

"SEC. 4100. (a) In the exercise and performance of its powers and duties under this title, the Authority shall consider the following, among other things, as being in the public interest:

"(1) The encouragement of the transportation of persons and property by air contractors in order to foster a market for aircraft manufacturers, in order to pomote skill in the operation and maintenance of aircraft, in order to develop new and additional uses for and types of aircraft, and in order to provide facilities for transportation by air supplementary to the air transportation system of air carriers.

"(2) The regulation of air contractors in such manner as to foster sound economic conditions among air contractors and to prevent destructive and wasteful competition between air contractors or between such contractors and air carriers.

"(3) Competition among air contractors to the extent necessary to achieve the maximum benefits from private initiative without undue impairment of the resources of such contractors.

"CLASSIFICATION AND EXEMPTION

"(b) The Authority may make such classifications of air contractors, according to geographical sections, types, or otherwise, as it may deem to be in the public interest, and may make any provision of this title inapplicable to any or all air contractors or classes of air contractors for such periods, or until such time, as it may deem to be in the public interest. Such action shall be taken with the objective, among others, of so adjusting the regulatory provisions hereof to the changing needs and conditions of the air contracting busi

ness as to avoid undue administrative burdens and unnecessary impediments to the development of such business. In connection with any such action the Authority may impose such requirements as it may deem to be in the public interest.

"LICENSES OF AIR CONTRACTORS

"LICENSES REQUIRED

"SEC. 4101. (a) No person shall engage in any air commerce as an air contractor unless there is in force a license issued by the Authority authorizing such person to engage in such commerce. No license shall be issued to any person who is not a citizen of the United States to engage in any interstate or overseas air commerce.

"APPLICATION FOR LICENSE

"(b) Application for a license shall be made in writing to the Authority and shall be so verified, shall be in such form and contain such information, and shall be accompanied by such proof of service, upon such interested persons, as the Authority shall by regulation require.

"NOTICE OF APPLICATION

"(c) Upon the filing of any such application, the Authority shall give due notice thereof to the public by posting a notice of such application in the office of the secretary of the Authority and to such other persons as the Authority may by regulation determine. Any interested person may file with the Authority a protest or memorandum of opposition to or in support of the issuance of a license. Such application shall be set for public hearing, and the Authority. shall dispose of such application as speedily as possible.

"ISSUANCE OF LICENSE

"(d) (1) The Authority shall issue a license authorizing the whole or any part of the commerce covered by the application, if it finds that the applicant is fit, willing, and able to perform such commerce properly, and to conform to the provisions of this Act and the rules, regulations, and requirements of the Authority hereunder, and that such commerce is required by the public interest; otherwise such application shall be denied.

“(2) The Authority may issue a license under this section authorizing the whole or any part of the air commerce applied for for such limited periods as may be required by the public interest: Provided, That where application is made for a certificate of unlimited duration and the certificate issued by the Board is effective for a temporary period only, the applicant may reject such certificate if such right of rejection is exercised within such reasonable period of time as may be fixed by the Board, and in such event no certificate shall be issued to such applicant.

"EXISTING AIR CONTRACTORS

"(e) The operation of any person regularly operating as an air contractor for a period of at least six months, or, if its operation was seasonal, regularly operating as such for seasonal periods during a period of at least one year, prior to the time when section 4101 (a) hereof becomes applicable to such person, shall be taken prima facie to be in the public interest for the purpose of section 4101 (d) hereof. Any air contractor operating as such at the time section 4101 (a) hereof becomes applicable to it may continue such operation until the Authority has passed upon its application for a license if it makes such application within one hundred and twenty days after the date when such section becomes applicable.

"TERMS AND CONDITIONS OF LICENSES

"(f) Each license issued under this section shall specify the points between which, or areas within which, operation as an air contractor is to be permitted, and the nature of the traffic and the scope of the business to be authorized thereby. There shall be attached to the exercise of the privileges granted by such license, or amendment thereto, such reasonable terms, conditions, and limitations as the public interest may require, except that no term, condition, or limitation shall

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